A historical perspective on devaluation
The issue of devaluation has elicited many comments from politicians especially from the ruling SPPF. Below is a comment about devaluation from a British Prime Minister when Great Britain faced the first in a series of economic crises until it stopped financing budget deficits by Central Bank advances. How familiar has the argument against devaluation been in Seychelles:
From now on the pound abroad is worth 14% or so less in terms of other currencies. It does not mean, of course, that the pound here in Britain, in your pocket or purse, or in our bank, has been devalued.
Harold Wilson, Labour Prime Minister of Great Britain in a BBC broadcast after announcing devaluation in November 1967.
